Price Wars

[llinthicum1]

Tesla released today a new Model Y, RWD, LFP battery for $45,380 including destination. That's almost identical to price for the Mach-e Select RWD with the LFP battery pack. Both are almost identical in performance. The only difference I believe the Model Y is eligible for $7500 tax credit and the Mach-e is $3750. I'm wondering if Ford will reduce price on the Mach-e, at least the Select trim?

Sponsored

 

[Billyk24]

My guess is Ford can not lower the sticker price due to an UAW strike that will increase labor cost.

 

[hybrid2bev]

My guess is Ford can not lower the sticker price due to an UAW strike that will increase labor cost.

Mach-E is made in Mexico in a non-union plant.

But may be a valid point for the Lightning and eTransit.

 

[Maquis]

My guess is Ford can not lower the sticker price due to an UAW strike that will increase labor cost.

What components of the Mach-E are produced in UAW plants? Asking because I really have no idea.

 

[Maquis]

Mach-E is made in Mexico in a non-union plant.

But may be a valid point for the Lightning and eTransit.

I think Cuautitlan is union, just not UAW.

 

[hybrid2bev]

I think Cuautitlan is union, just not UAW.

Oh, yep that's right.

They are represented by the National Union of Ford Motor Company Workers, which is part of the Confederation of Mexican Workers (CTM), one of the country's biggest labor organizations.

 

[LincolnLuvr]

Ford should drop all model prices by $3k to match the tax credit reduction in the Mach E vs. the Model Y. Having the Select start below $40k would be a coup. They might lose money but at least they would gain market share.

 

[Billyk24]

What components of the Mach-E are produced in UAW plants? Asking because I really have no idea.

Guessing that increased labor costs have to be spread among all vehicles.

 

[Maquis]

Guessing that increased labor costs have to be spread among all vehicles.

That’s not how direct labor or plant overhead is treated using GAAP.

 

[RobbertPatrison]

This is Ford's dilemma: Tesla has a much higher volume, and therefore much lower unit cost than Ford. The gap at the higher trim levels is even larger. Cutting another $3K of the sale price will increase Ford's EV losses even more, but they might have no choice.

The MME vs. MY trade-off is as follows:

• MME is 100% Musk-free.
• The Ratio MME:MY on the road here is 1:20 at least.
• The MME is a more solid and (eye of the beholder) way better-looking
• MME supports CarPLay and Android Auto
• MY does not have the dreaded HVJB issue that will get many MMEs
• MY is more energy-efficient than MME
• MY had a better charge curve and a better charging network

 

[ajmartineau]

I think some temporary rebates are very likely.

 

[ShoreTang]

Mach-E is made in Mexico in a non-union plant.

But may be a valid point for the Lightning and eTransit.

They’ll still use the strike excuse for the Mach-E.

 

[zvez]

So Ford is releasing some serious incentives. Dropped yesterday (week after I bought my GT so I"m feeling like a chump on this)
$9250 cash incentive for 23 GTs , and lower incentives for the whole model range. https://www.herbchambers.com/global...V-Offers-US2023FRD2e8b7be43dcb2538329bd95.htm

 

[LincolnLuvr]

So Ford is releasing some serious incentives. Dropped yesterday (week after I bought my GT so I"m feeling like a chump on this)
$9250 cash incentive for 23 GTs , and lower incentives for the whole model range. https://www.herbchambers.com/global...V-Offers-US2023FRD2e8b7be43dcb2538329bd95.htm

Is it really a deal when the $9250 is deducted from an inflated GTPE price of $73k?

Sponsored